AI layoffs: Artificial Intelligence will destroy certain jobs, says HSBC CEO, urges staff to ‘not resist the change’

At a time when concerns are growing that some of the biggest companies around the world will see redundancies due to Artificial Intelligence (AI), HSBC CEO Georges Elhedery has called on bank staff not to struggle with the technology.

Elhedery called on HSBC staff to make sure they’re “not fighting us, they’re not disenfranchised, they’re not anxious, they’re not overwhelmed, they’re not resistant to change” and promised that AI could make them “more productive versions of themselves.”

‘Artificial intelligence will destroy some jobs’

“We all know that productive AI will destroy certain jobs and create new jobs,” Elhedery said.

In March this year, it was reported that HSBC was considering cutting up to 20,000 roles in the medium term as part of a broad cost-cutting plan. The layoffs are tied to an artificial intelligence-focused transformation in the bank’s operations and organizational structure.

The plan, which has not yet been formalized by HSBC, is expected to focus on non-customer-facing positions, particularly in the lender’s global service centres. According to a Bloomberg According to the report, the cuts would be implemented over a three- to five-year period and could be accomplished through redundancies, layoffs and failure to replace departing employees.

HSBC has more than 211,000 employees worldwide.

Standard Chartered CEO sparks outrage

The HSBC CEO’s comments echo those of the chairman of Standard Chartered, one of its main rivals.

Bill Winters, chief executive of Standard Chartered, found himself at the center of a major controversy after claiming that AI would replace “low-value human capital” while speaking about planned job cuts at the bank.

Standard Chartered said on Tuesday it would eliminate almost 8,000 jobs by replacing “low-value human capital” with technology.

StanChart, which has 83,000 employees, said it would cut 15% of corporate function roles by 2030, highlighting that staff in so-called back-office roles are particularly vulnerable.

Other banks are planning layoffs

Standard Chartered and HSBC, as well as many other banks around the world, are also embracing AI while reducing their workforce. In February 2025, DBS Group’s then-CEO Piyush Gupta said Singapore’s largest bank had announced it would cut 4,000 contracts and temporary positions and create around 1,000 new AI-specific roles over the next three years as automation expands.

“For the first time in my 15 years as CEO, I’m having a hard time creating jobs. Until now, I’ve always had a point of view on what jobs I could create. This time, I’m having a hard time saying how to reuse people to create jobs,” Gupta said.

Accordingly ReutersGoldman Sachs told staff in October there were potential layoffs and a slowdown in hiring.

Wells Fargo CEO Charlie Scharf said in December that it had not reduced the number of people it employs thanks to artificial intelligence, but was “doing a lot more” thanks to technology.

Which banking businesses will be affected?

Morgan Stanley analysis found that companies in banking, technology and professional services laid off one in 20 employees last year as a result of the use of artificial intelligence.

Offshore workers and young, new workers that financial services firms rely on to run much of their IT services in places like India and Poland are bearing the brunt, according to a Morgan Stanley report.